Update on Sick Leave Relief for Nonprofits

When California earlier this year mandated supplemental sick leave of up to 80 hours for people ill with COVID, quarantining, or caring for a family member with COVID, the impact on client-facing nonprofits was immediate. Nonprofit health clinics, preschools, elder care, and countless others had to bring in additional staff to cover for others under the mandate. The large expense involved – typically not covered by changes to government contracts or foundation grants – has been yet another COVID burden, even though we all support extending this needed leave to our employees.

CalNonprofits and an ad-hoc nonprofit coalition advocated for $500 million to be included in the state budget to provide relief to nonprofits of all sizes and small businesses impacted by the costs of supplemental sick leave. After the legislature and Governor Newsom negotiated the final budget, here’s where things landed:

• $250 million for relief to nonprofits and businesses with 26-49 employees
• Grants to reimburse supplemental sick leave expenses up to $50,000 per eligible employer, through a program administered by GO-Biz

In light of the pandemic’s persistence, the state recently extended the mandatory supplemental sick leave from September 30 to December 31 of this year. CalNonprofits is likely to partner again with GO-Biz to help conduct outreach to nonprofit employers eligible for these relief grants. We promise to keep you all posted!